requests in the video, the server retrieves the
MP4 file, transmuxes to the necessary ABR
format, and sends it to the player. While the
chunk may be temporarily stored somewhere
in the content delivery network’s HTTP caching structure, they are never stored on the
streaming server, so you’re charged simply
for the stored MP4 files. Since the server creates the ABR packaging dynamically, you’re
never charged for that operation by your cloud
encoder.

You can perform dynamic packaging even
if you are applying digital rights management
to your video, or if you need to apply different
caption formats for your target players. In most
instances, there are few, if any, meaningful
downsides.

Dynamic With Microsoft Azure

I’ll start with Microsoft Azure, the source ofFigures 2 and 3. Here I spoke with Martin Wahl,The cost? Basically, it’s included in the costof distribution. According to Wahl, with Azure,you can stream directly from the origin server,or use the Azure CDN, which adds points ofpresence (POS) at the edge, and caching, whichshould improve the overall quality of experienceof your viewers. Both services charge by thegigabyte delivered, and in each case, dynamicpackaging, including captions and encryption,is included. Or, you can send the packaged ABRvideos from the origin server to a third-partyCDN, in which case you’ll pay for the transferbandwidth to the CDN, and dynamic packag-ing is also included.